The Death of the US Auto Industry?

The one factor that I've yet to hear anyone discuss in this issue (or the decline of newspapers for that matter) is the generational factor. I'm 47, born in 1961 at the very beginning of what many people consider Generation X. For many people my age and younger we simply cannot afford many of the cars currently on the market, not to mention all the high-priced SUV's favored by the baby boom generation which helped hasten the current auto industry decline. That's why you are seeing cars like Kia's Soul, Scion's Xa, and Honda's Fit becoming more popular with younger buyers. Their purchasing patterns come from years of economizing on food, clothing, etc. Many don't own or want to own cars, attributed to their environmental concerns. All this adds up to a huge market advantage for companies like Scion, Toyota, Honda, etc. They've invested in environmentally-friendly, technologically-savvy cars that "speak" to younger buyers, and that they can actually afford. 

The same can be said for the newspapers: Who did they think were going the be their future customers? A generation of consumers raised on active media like Wii, Xbox, the internet, and iPods & iPhones?! Not likely. That's why they're dying. They -- and the US auto industry -- had NO FORSIGHT at all. They just found a profitable wave that they rode all the way to shore, and now they're stunned -- stunned -- that they find themselves faced with paddling back out to sea to catch another wave. The lack of judgement and forethought is mind-boggling. But when you look at who runs most of these companies it's understandable. For the most part it's middle-aged white men -- baby boomers -- who are so closed off to the realities of the outside world (are you listening George Bush & Dick Cheney) that they didn't even see the tidal wave coming towards them. 

I understand the desire to "punish" the American auto makers (and news barons) who were so lax in their judgement. But I also understand President Obamas practical desire to save the jobs of the workers who were faithfully fulfilling their mission to build quality cars. Though they deserve some criticism for not making career transitions when they saw the industry on the ropes, for the most part, auto workers are the victims of this crisis. Let's hope that all parties involved can find a solution that will provide quality, low-cost, fuel-efficient cars built in America by American workers that the current generation of buyers will want to buy.